The latest report from the Organisation for Economic Co-operation and Development (OECD) sheds light on changing migration patterns. Notably, wealthier nations are experiencing a slowdown in migration inflows, particularly related to labor-driven migration.
Declining Migration Trends in Wealthy Nations
The OECD report indicates that permanent migration to member countries fell by 4% in 2024, following three years of strong growth. Despite this drop, the total number of migrants settling in these nations is still 15% higher than pre-pandemic levels. In 2024, approximately 6.2 million people moved to OECD countries.
- 2024 migration numbers: 6.2 million
- Decrease in permanent migration: 4%
- Labor-derived migration drop: 21%
Labor Migration Drops Significantly
Labor migration has seen a significant decline, with a 21% decrease reported. This trend aligns with softened labor-market conditions and stricter visa policies instituted in several nations, including the UK. As a result, work-related migration plummeted to approximately 934,000 individuals in 2024, marking a fifth of the total migration.
Countries like Germany and the Netherlands have experienced labor migration levels falling below those seen before the pandemic. Despite this decline, immigrants continue to perform well in the workforce. In certain host nations, immigrant employment rates now surpass those of native populations.
Integration and Economic Impact
OECD Secretary-General Mathias Cormann emphasized the need for effective migration policies. Such policies are vital for managing pressures on public services and facilitating the integration of newcomers into the labor market. Cormann highlighted two critical areas for improvement:
- Streamlining assessment and recognition of foreign qualifications
- Enhancing support for language acquisition, job searching, and skills development
While labor migration is decreasing, family and humanitarian migration is on the rise. This shift places new demands on integration systems in OECD countries, affecting housing, education, and welfare services.
The Future of Migration in OECD Countries
As rich nations confront aging populations, the OECD warns that without a resurgence in migration, labor forces could shrink significantly by 2060. Projections suggest an 8% contraction could occur, with median income growth slowing to around 0.6% annually.
In conclusion, even as patterns of migration evolve, they remain essential for economic vitality in OECD member states. Continued attention to migration policy is crucial for harnessing the economic benefits that migrants bring.
